Having Kindles available to check and buy in retail stores is a big positive for Amazon.
But they don't have to run their own stores to have that. Chucking a bit of marketing money at existing stores can achieve the same end with none of the overhead.

But it's not just about selling Kindles. Amazon's expanding - warehouses, lockers, groceries, same day deliveries and storefronts.

It will happen. Amazon can either start from scratch or buy an existing chain.

When I go to Radio Shack, I'm typically shopping in the back of the store. Radio shack used to be more of a DIY electronics store. It still has that aspect, but it's in the back of the store and not as prominent as it used to be. I'll go to Radio Shack if I need a connector or cables and don't want to make the trip to the big box store. If Amazon were to buy out Radio Shack, they would have to keep selling much of what Radio Shack sells, otherwise there would be little point in buying them out, they could just set up their own store from scratch.

Sears used to have "catalog stores" in small towns. They had some items for sale, I think you could get some appliances. But mostly you placed catalog orders there and picked up your orders from the store when they arrived. With the lockers, Amazon is doing half of that. But Amazon could also have kiosks for people to place orders. Of course, most of us will just order from our own computers. But there are some people who are not at all tech savvy. They might prefer to order at a kiosk in a store where they can place an order without having to create an account, and where someone from the store can place an order. Such kiosks wouldn't cost a lot.

When I go to Radio Shack, I'm typically shopping in the back of the store. Radio shack used to be more of a DIY electronics store. It still has that aspect, but it's in the back of the store and not as prominent as it used to be. I'll go to Radio Shack if I need a connector or cables and don't want to make the trip to the big box store.

Even with RS's dwindled DIY focus, there isn't a big box store anywhere I know of in my area that has a FRACTION of the adapters, much less the switches and components, that RS still stocks.

If RS closed or stop carrying components, where on earth could I go at 8pm on a Friday to get a push-button switch and vibration motor to upgrade my metal detecting pinpointer?

Yes, I'm a geek.

BTW, I used to work at RS right around the time they started changing focus from radio and electronics gear to consumer products. It was sad.

ApK, you don't have a Fry's Electronics near you? Radio Shack is just a shell of its former DIY self in terms of electronic component inventory. I've been predicting their collapse for a few years now. BestBuy has more going for them in non-DIY merchandise and THEY are nearing collapse.

Are they lacking places that show and sell Kindles?
Certainly in the UK there is no lack of places to find one.

Kindle is far from the only thing Amazon sells that would benefit from a big chain of small, highly-accessible storefronts. (Over 7000 stores, averaging 2500 sq ft)

The idea behind this proposal is that Amazon could host their delivery lockers, showroom select items, and provide a physical site to order and receive merchanise for same day pickup. Sort of a modern incarnation of the old BEST PRODUCTS catallog showroom stores.

I could see it work, but I suspect Bezos is looking at the back end for same-day deliveries first. Which makes a UPS or FedEX play more logical.

But it's not just about selling Kindles. Amazon's expanding - warehouses, lockers, groceries, same day deliveries and storefronts.

One of those things is not like the others.
Warehouses, groceries and deliveries are all about an efficient distribution system, which Amazon are very good at. With lockers (as far as I have seen) they are taking the approach I described earlier, of chucking a bit of money at existing retail outlets to host them without taking on the overhead themselves.
Where do the storefronts come in? Every other retailer is already a storefront for Amazon, you see what you like then go home and order it online.
I could maybe see them going more strongly into partnership with a couple of existing retailers to get Kindle zones in the way you see Apple zones in electronics retailers, or having a few prestige own named stores, but how do they gain by having a thousand little strip mall outlets?

...but how do they gain by having a thousand little strip mall outlets?

Those Radio Shack sites are generally *extremely* well-located.
Plus, you're forgetting Amazon doesn't like paying others recurring fees for anything they can do themselves. Like the Mobipocket, Ivona, Kiva Systems purchases... Amazon prefers to buy the operations and let them pay for themselves over time so they can get the resource (DRM, TTS, warehouse robots) essentially for free.
If Bezos were to decide that using Amazon's distribution system to feed the RS stores could turn the chain around *and* let him site lockers and kiosks for free, he'd do the deal in an instant. But that's a really big "if". Radio shack is a very sick company.
He might prefer to let it go chapter 7 liquidation and pick up the leases enmasse to turn them into media stores.

Kindle is far from the only thing Amazon sells that would benefit from a big chain of small, highly-accessible storefronts. (Over 7000 stores, averaging 2500 sq ft)

Except for one tiny problem. Many of those storefronts are NOT highly accessible. One thing I've done wherever I've lived is map out the nearest Radio Shack locations, and I gotta say, it's rarely prime storefront locations. Sure, in some markets, there are no doubt great locations. But here, for example, it's a case of "Radio Shack is where Radio Shack has always been". The neighborhood around it changes, and people still go there because there's no other place quite like it.

These locations work for RS, but that does not mean they would work for Amazon because it's not targeting the same group.

Except for one tiny problem. Many of those storefronts are NOT highly accessible. One thing I've done wherever I've lived is map out the nearest Radio Shack locations, and I gotta say, it's rarely prime storefront locations.

My experiences are different.
The areas I've lived, Radio Shack is planted in all the major suburban Malls; either inside or in attached strip malls. Some places, both.
7000 stores can't *all* be good.
(They shut down 500 a few years back because they weren't working any more.)

Moving into retail spaces doesn't make a lot of sense to me since they would then have to pay staff, building costs etc all of which would eat into their profit which they would pass onto to us with higher prices for local stuff.

Add in that they couldn't possibly stock everything that people are able to get there that they can't get elsewhere in their areas.

Nope, I will pay my $79.00 for Amazon Prime get everything I want under the sun at good prices, save a bundle on shipping and continue to be very happy.